the economic transformation of america ch. 17
Chapter 17
The Economic Transformation of America
1877-1887
Industrialization
• Foundations for Industrialization.
• Unprecedented Growth of Businesses and Industry.
• Industrial Revolution begins in England.
• New Inventions spur growth
Industrialization Changes Work
• Factories would employ tens of thousands of workers.
•
•
•
•
•
Civil War results in dramatic growth of North
Manufacturing materials for warfare.
Factories built to furnish supplies for war
Existing factories grow to meet demand
Abundant natural resources.
Skilled work force
•
•
•
•
•
Dramatic Change in the Nature of Work
Many workers had been artisans on farms.
Some had worked for family enterprise.
Farm work involves 30-100 different tasks
Long days, difficult work, adverse conditions
Differing tasks -- diversity -- not dominated by one routine.
Work Was Changed Forever
• The structure and nature of employment would be dramatically changed by industrialization.
Growth of railroads
•
•
•
•
•
Value of bulk transportation seen
Civil War troop movements show value and efficiency of railroads
Economic giants get help from government
Standard gauge track adopted
Five transcontinental lines completed.
The Railroads as Industries
• The railroads received federal support in starting their businesses.
In America the railroads set the standard for big business
• Myth that the government involvement is always bad
• Government gives land to RR cheaply or free.
• Wide right of ways allow railroads to sell valuable land
History .....Chapter 1 7......p. 2
• Land made valuable by presence of railroad.
•
•
•
•
•
•
The Myth that the Marketplace Rules
The first multi-millionaires were helped by federal government
Railroads seek to suppress competition
Price wars had hurt profits
Collusion in setting prices increases profits
Allegiance to AFree Enterprise@ an illusion
Federal government steps in to end corruption and price
The Economic Transformation of America
1877-1887
Industrialization
• Foundations for Industrialization.
• Unprecedented Growth of Businesses and Industry.
• Industrial Revolution begins in England.
• New Inventions spur growth
Industrialization Changes Work
• Factories would employ tens of thousands of workers.
•
•
•
•
•
Civil War results in dramatic growth of North
Manufacturing materials for warfare.
Factories built to furnish supplies for war
Existing factories grow to meet demand
Abundant natural resources.
Skilled work force
•
•
•
•
•
Dramatic Change in the Nature of Work
Many workers had been artisans on farms.
Some had worked for family enterprise.
Farm work involves 30-100 different tasks
Long days, difficult work, adverse conditions
Differing tasks -- diversity -- not dominated by one routine.
Work Was Changed Forever
• The structure and nature of employment would be dramatically changed by industrialization.
Growth of railroads
•
•
•
•
•
Value of bulk transportation seen
Civil War troop movements show value and efficiency of railroads
Economic giants get help from government
Standard gauge track adopted
Five transcontinental lines completed.
The Railroads as Industries
• The railroads received federal support in starting their businesses.
In America the railroads set the standard for big business
• Myth that the government involvement is always bad
• Government gives land to RR cheaply or free.
• Wide right of ways allow railroads to sell valuable land
History .....Chapter 1 7......p. 2
• Land made valuable by presence of railroad.
•
•
•
•
•
•
The Myth that the Marketplace Rules
The first multi-millionaires were helped by federal government
Railroads seek to suppress competition
Price wars had hurt profits
Collusion in setting prices increases profits
Allegiance to AFree Enterprise@ an illusion
Federal government steps in to end corruption and price